A new proposal has been introduced that could offer $ZK holders more flexibility and benefits. Rafael Solari, or Raf, the CTO and Co-Founder of Tally, has suggested allowing $ZK tokens to be staked directly on-chain through Tally. This would let holders earn rewards while keeping their voting power for governance decisions.
The idea aims to make $ZK more useful for its holders, combining staking with active participation in governance. Let’s take a closer look at what Raf’s proposal offers and how it could impact the community.
What is Raf’s Proposal?
On January 15, 2024, Raf, the CTO and Co-Founder of Tally, presented a detailed proposal for staking within the ZKsync ecosystem during a proposal review session on ZK Nation’s YouTube channel.
This idea was first published on the ZKNation forum, ZKsync’s current governance platform, on December 18, 2024.
Raf’s proposal aims to give $ZK token holders the ability to stake their tokens directly on-chain while simultaneously using them for governance, effectively allowing participants to earn rewards and retain voting power.
Raf began by explaining why staking is essential for ZKsync’s future. He argued that staking serves as a decentralised way to incentivise key services that the network relies on, such as validator or prover operations.
Unlike centralised solutions, staking aligns with ZKsync’s core principles, including trustlessness, security, reliability, censorship resistance, privacy, scalability, accessibility, and sovereignty.
These principles are foundational to the ecosystem, and Raf sees staking as a way to strengthen their implementation.
He also highlighted that this proposal is timely, as token utility has become an expectation in the market. Raf believes staking can align token holders with the protocol while ensuring network security.
He further suggested that staking could play a vital role in ZKsync’s roadmap, particularly in securing provers, a decentralised proving system that is a key milestone for the ecosystem.
Raf introduced "Staker," a configurable staking contract compatible with governance systems. This contract is designed to distribute rewards from network revenue or new token issuance, depending on criteria such as active governance participation.
Drawing inspiration from established projects like Ethereum, AAVE, and Arbitrum, Raf’s approach aims to create a dynamic and community-driven staking system.
He concluded by inviting feedback from the community, emphasising the need for collaboration in shaping the proposal’s goals and implementation. Raf’s vision seeks to enhance $ZK’s utility while empowering its holders.
The Proposed Timeline
Raf’s proposal for staking $ZK includes a clear timeline broken into four phases to ensure a smooth rollout of the staking system.
Each phase addresses critical steps to build and refine the process while maintaining security and community involvement.
- Preparation Phase (4 Weeks)
This phase focuses on initial setup and testing. The team will simulate reward amounts to understand how incentives will work.
They will configure and deploy staking contracts and integrate these with a user interface (UI) for testing. These steps ensure that the system is functional and ready for public u
- Proposal Phase (2 Weeks)
After preparation, a governance proposal will be submitted to turn on staking rewards. This step allows the ZKsync community to review and approve the activation, ensuring that the process is transparent and community-driven.
- Season 1 (8 Weeks)
The first operational phase involves launching a small staking program with capped deposits. A steering committee will oversee this phase, retaining the ability to pause the program if needed, ensuring security and stability during its early implementation.
- Season 2 (16 Weeks)
In the final phase, the staking program will expand, removing deposit caps. The steering committee will transfer administrative keys back to the DAO, completing the transition to full decentralisation.
This structured timeline reflects Raf’s methodical approach, prioritizing a secure and gradual implementation.
Comparison to ZKNation, the Current Governance Platform
Currently, ZKsync relies on ZKNation as its governance platform. This platform provides $ZK token holders with two main tools, which are a forum for discussions and a voting platform.
Through the voting platform, holders can delegate their tokens to themselves or third-party representatives, activating their voting power.
However, this delegation is limited to governance participation only, as there are no rewards for holders who delegate their tokens, which reduces the incentive for active involvement.
Delegating tokens on the ZKNation platform is a straightforward process. Holders connect their wallets, choose a delegate (or self-delegate), and confirm their choice.
While this system ensures that anyone with $ZK can participate in governance, the lack of rewards tied to the process leaves room for improvement.
Raf’s proposal on Tally offers a different approach. It aims to let $ZK holders stake their tokens directly on-chain, earning rewards while maintaining voting power.
This dual-use system could enhance the utility of $ZK by combining governance with financial incentives, giving holders more reasons to actively participate.
Despite the potential benefits, no discussions have taken place between the ZKNation and Tally teams about merging or transitioning platforms.
While ZKNation focuses solely on governance, Raf’s proposal introduces a system that could redefine the experience for $ZK holders, making the token more versatile and rewarding.
Conclusion
Raf’s proposal to introduce staking for $ZK through Tally represents a significant opportunity for token holders to gain more utility from their assets.
By allowing $ZK holders to stake their tokens and earn rewards while retaining voting power, the proposal bridges the gap between governance and financial incentives.
Compared to the current ZKNation governance platform, which offers no rewards for token delegation, this new system has the potential to enhance participation and token value.
